Emotions and Investing PC1324-Digital

INVESTMENT STRATEGY

EMOTIONS AND INVESTING

Don’t Let Your Feelings Cloud Your Investment Decisions.

Our emotions are part of our everyday lives. When it comes to finances, however, getting emotional tends to disrupt even the best planned investment strategies. Case in point: Emotions, and the behaviors they trigger, were part of the reason why individual investors underperformed the S&P 500 by nearly four percentage points, on average, over the past 20 years. 1 That’s because the desire to jump into a hot investment and to sell losers in order to avoid further losses tends to